See in seconds whether your ad spend is truly profitable. Calculate ROAS, ACOS, break-even ACOS and your net profit.
Target: your real ACOS should stay below the break-even ACOS.
Free Ad Audit →Even a high ROAS can hide a loss once product cost and fees are included. This calculator shows your unit margin, break-even ACOS and net profit after ads in one view.
ROAS = ad revenue / ad spend. ACOS = ad spend / ad revenue (percentage). They are inverses: ACOS = 1 / ROAS. A high ROAS alone doesn't guarantee profit — don't decide without seeing your margin.
Break-even ACOS = unit gross margin / sale price. Below it you're profitable; above it you're losing money. The goal isn't to blindly cut ACOS but to scale profitably below break-even.
A good ROAS depends on margin; low-margin products need higher ROAS. The right target is above your break-even ROAS while staying profitable and sustainable.
ROAS (Return on Ad Spend) is ad revenue divided by ad spend. A 5x ROAS means 5 in revenue for every 1 spent.
ACOS (Advertising Cost of Sale) is ad spend divided by ad revenue, as a percentage. ACOS = 1 / ROAS.
The ACOS level where profit equals zero; it equals unit gross margin divided by sale price. Below it, you're profitable.
It depends on your margin. The right target is above your break-even ROAS while staying profitable and scalable.